Rambus Whiffs on Revenues
Rambus (NAS: RMBS) reported earnings on July 19. Here are the numbers you need to know.
The 10-second takeaway
For the quarter ended June 30 (Q2), Rambus whiffed on revenues and missed expectations on earnings per share.
Compared to the prior-year quarter, revenue contracted significantly and GAAP loss per share improved.
Margins shrank across the board.
Rambus booked revenue of $56.2 million. The two analysts polled by S&P Capital IQ wanted to see revenue of $62.9 million on the same basis. GAAP reported sales were 15% lower than the prior-year quarter's $66.2 million.
Source: S&P Capital IQ. Quarterly periods. Dollar amounts in millions. Non-GAAP figures may vary to maintain comparability with estimates.
EPS came in at -$0.29. The two earnings estimates compiled by S&P Capital IQ anticipated -$0.20 per share. GAAP EPS were -$0.29 for Q2 versus -$0.10 per share for the prior-year quarter.
Source: S&P Capital IQ. Quarterly periods. Non-GAAP figures may vary to maintain comparability with estimates.
For the quarter, gross margin was 86.9%, 400 basis points worse than the prior-year quarter. Operating margin was -38.5%, 5,890 basis points worse than the prior-year quarter. Net margin was -57.3%, 4,130 basis points worse than the prior-year quarter.
Next quarter's average estimate for revenue is $64.6 million. On the bottom line, the average EPS estimate is -$0.16.
Next year's average estimate for revenue is $255.3 million. The average EPS estimate is -$0.75.
The stock has a one-star rating (out of five) at Motley Fool CAPS, with 431 members out of 523 rating the stock outperform, and 92 members rating it underperform. Among 88 CAPS All-Star picks (recommendations by the highest-ranked CAPS members), 59 give Rambus a green thumbs-up, and 29 give it a red thumbs-down.
Of Wall Street recommendations tracked by S&P Capital IQ, the average opinion on Rambus is outperform, with an average price target of $7.17.
Is Rambus the best semiconductor stock for you? You may be missing something obvious. Check out the semiconductor company that Motley Fool analysts expect to lead "The Next Trillion-dollar Revolution." Click here for instant access to this free report.
Add Rambus to My Watchlist.
The article Rambus Whiffs on Revenues originally appeared on Fool.com.
Seth Jayson had no position in any company mentioned here at the time of publication. You can view his stock holdings here. He is co-advisor ofMotley Fool Hidden Gems, which provides new small-cap ideas every month, backed by a real-money portfolio. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.
Copyright © 1995 - 2012 The Motley Fool, LLC. All rights reserved. The Motley Fool has a disclosure policy.